Committee looking to extend the OPEC production cut

[Wiljor]

Iraq, November 28, 2016 

Iraq will shoulder part of the burden of oil-output cuts, said Prime Minister Haider Al-Abadi, reversing the nation’s previous insistence for an exemption and potentially removing an obstacle to an OPEC deal next week.

“Iraq will cut its output to preserve prices,” Al-Abadi told reporters in Baghdad on Wednesday. The country wants OPEC to reduce production by a total of 900,000 barrels a day when it meets next week in Vienna because low prices are hurting global investment in the industry, he said.
The premier’s statement could improve the chances that the Organization of Petroleum Exporting Countries will implement its September pledge to reduce crude output to remove a global oversupply and boost prices. OPEC failed to finalize the details of supply curbs Tuesday, largely because of Iran and Iraq’s resistance to making any reductions. The government in Baghdad had argued that it needs all possible resources for its fight against Islamic State.

OPEC agreed on Sept. 28 in Algiers to reduce output to 32.5 million to 33 million barrels a day. OPEC estimates it pumped 33.6 million barrels a day last month, meaning a 900,000 barrel cut would place production in the middle of that range.

A $1 increase in the price of oil boosts Iraq’s revenues by $1 billion a year, Al-Abadi said. “If OPEC cuts down output at 1 million barrels a day, this will help prices to go up and Iraq will make gains from this,” he said.

If there’s no agreement to restrict output, the International Energy Agency has said that oil prices are likely to fall in 2017 as the surplus persists. OPEC’s own estimates of supply and demand also show that the Algiers agreement would barely drain a record oil surplus next year without the cooperation of non-members such as Russia, the world’s largest energy exporter. Officials from Kremlin and other non-OPEC nations will meet with the group in Vienna on Nov. 28.

Saudi Arabia, OPEC’s largest producer, has expressed optimism that consensus can be reached to cut supply, although oil prices have been volatile amid speculation that previous demands for exemptions from Iran and Iraq could thwart a deal. Iran has insisted that it should be allowed to restore output to pre-sanctions levels, which it pegs at about 4 million barrels a day.

After rising to a one-year high of $53.73 a barrel last month in the wake of OPEC’s Algiers accord on output cuts, benchmark Brent crude slipped to $48.97 a barrel as of 12:29 p.m. in Singapore on Thursday. 

Prices remain less than half their level in mid-2014 amid a persistent global oversupply. Iraq remains capable of paying money due to oil companies operating in the country, Al-Abadi said. “We have talks with these companies, complicated talks, and we cut the finance of unnecessary spending programs” while supporting the continuity of funding necessary to raise oil output, he said.

 

rebuildingiraq

 

http://iraqdailyjournal.com/story-z14357384

[Wiljor]

Oil Climbs as Iraq Pledges to Cooperate With OPEC on Output Deal

 

By Jessica Summers - Nov 28, 2016, 3:53:34 PM

 

5:52

Nov.28 -- Credit Suisse Securities Global Energy Economist Jan Stuart weighs in on OPEC's attempt to salvage an agreement on production cuts. He speaks on Bloomberg Markets: European Close."

Oil rose as Iraq’s oil minister said it pledged to cooperate with OPEC to reach an agreement this week that’s acceptable to all members.

Futures gained 2.2 percent in New York, reversing an earlier decline. Iraq’s Oil Minister Jabbar al-Luaibi said Monday he’s “optimistic” a deal will be reached at OPEC’s summit in Vienna on Wednesday. However, after hours of discussions on Monday, an OPEC committee didn’t reach agreement on production cuts during high-level talks in Vienna, according to a delegate. Iran and Iraq still have reservations on cuts, the delegate said. 

 

Saudi Arabia previously said that the producer group doesn’t necessarily need to curb oil output, after pulling out of a scheduled meeting with non-members including Russia.

 

 

The Organization of Petroleum Exporting Countries is in the midst of negotiations before its Nov. 30 meeting to adopt a supply deal that was first floated in September. Oil prices whipsawed last week as various OPEC members and Russia tried to position themselves ahead of a final accord to reduce production.

Comments from Iraq earlier are “classic jawboning,” Bill O’Grady, chief market strategist at Confluence Investment Management in St. Louis, said by telephone. “If a deal is going to get done, the Saudis will have to shoulder virtually all of the pain.”

Read more: Ministers travel to Moscow as OPEC tries to salvage an agreement

West Texas Intermediate for January delivery rose $1.02 to settle at $47.08 a barrel on the New York Mercantile Exchange. Brent for January settlement advanced $1 to end the session at $48.24 a barrel on the London-based ICE Futures Europe exchange. The global benchmark traded at a $1.16 premium to WTI.

Show Your Cards

“Oil prices have been buffeted by the various pronouncements from OPEC producers. Iraq has come out today with a little more of a positive rhetoric,” Harry Tchilinguirian, head of commodity markets strategy at BNP Paribas SA in London, said by telephone. “What we have now is the usual poker game ahead of the meeting, where you have the various producers positioning themselves, each with their own agenda. In the end, they will sit down behind closed doors -- they will have to show their cards.”

While Saudi Arabia has pushed to reverse OPEC’s pump-at-will policy, Energy Minister Khalid Al-Falih said Sunday the oil market would recover in 2017 even without cuts as consumption grows in countries such as the U.S., according to Saudi newspaper Asharq al-Awsat. Algerian Energy Minister Noureddine Boutarfa had presented a proposal Saturday to Iranian Oil Minister Bijan Namdar Zanganeh for an OPEC cut of 1.1 million barrels a day, according to an Iranian oil ministry official.

Russia Balks

Russia has so far resisted requests to join a cut, offering instead to freeze production at current levels. Energy Minister Alexander Novak has insisted that OPEC reach an internal consensus on output curbs before Russia considers joining an accord. Russian President Vladimir Putin and Iranian counterpart Hassan Rouhani had a phone conversation on Monday and stressed that OPEC’s efforts to cut output is a “key factor” in stabilizing the global oil market, according to an e-mailed statement from Kremlin.

Iran’s Oil Minister Bijan Namdar Zanganeh told Iranian state TV in a phone interview that politics may make an OPEC decision harder, according to the website of state broadcaster IRINN.

If OPEC fails to reach an output deal this week, oil prices may fall to the $20s, Amrita Sen, Energy Aspects Ltd. chief oil analyst, said in a Bloomberg Television interview in Vienna on Monday.

Oil-market news:

• If there is no OPEC deal, expect short-term volatility in the oil markets, Rob Thummel, a managing director and portfolio manager at Tortoise Capital Advisors LLC, says on Bloomberg Television. 
• Cushing, Oklahoma, crude stockpiles increased 100,000 barrels in the week ended Nov. 25, according to a forecast compiled by Bloomberg. 
• Iran’s Persian Gulf Petrochemical Industries Co. is in talks with Asian companies to raise as much as 1 billion euros ($1.1 billion) for an expansion, including a methanol project intended to serve China and other Asian customers

bloomberg.com

[calkid11]

Thank you 

[calkid11]

Thank you 

[sandfly]

Thanks 

[sandfly]

Thanks 

[yota691]

Swing OPEC basket price} {with near Austria Meeting

 

 

29/11/2016 0:00    Baghdad / follow - up - Mustafa al - Hashimi  with the approaching date of the meeting of oil - producing countries , "OPEC" oil prices fell more than one percent on Monday , continuing a decline since the days after the re - emerging doubts in the major producers the ability to agree on production cuts at a meeting to be held on Wednesday in order to curb the increase in the global supply of Alinvt.ccant agency "Bloomberg" has quoted informed sources as saying that the meeting , which was to be held, on Monday, with the participation of Member States and non -members in the "OPEC", has been canceled due to Saudi Arabia 's failure to attend.  the newspaper has announced "Financial Times", earlier on Friday that Saudi Arabia will not participate in the "OPEC" meeting with non - members of the organization.  According to the paper 's sources, the Saudis see it is not feasible, as long as the members of the organization have yet to an agreement. And questioned the need to hold such a meeting.  He said Khalid al - Falih , Saudi Minister of Energy on Sunday: that this is due to the failure to reach yet an agreement within the "OPEC".  He added that the oil market will balance itself in 2017 even if it did not interfere with the producers and therefore maintain levels current production may be justified.  fell Monday engagements futures for Brent 84 cents , or 1.8 percent , prices of the latest closing price them at $ 46.40 a barrel at 0035 GMT.  and landed contracts futures for WTI US prices of intermediate 74 cents , or 1.6 percent to $ 45.32 a barrel.  in the same context , the Organization of Petroleum exporting countries "OPEC" has announced that the price of raw materials of the 14 basket arrived last Friday to $ 44.88 a barrel , compared with the day before , which reached to $ 45.22 a barrel.  and includes crude basket "OPEC" new, which is a reference in the level of production policy, the 14 kinds of each of Basrah light crude and Murban the UAE and the combination of the Algerian Sahara and Iranian heavy and Kuwaiti export and Sidr Libya and Bonny light Nigerian crude maritime Qatari light and the Arab and Saudi crude Venezuelan Mireille and Girassol Angolan and spring light Gabonese and Orient Ecuador Minas Indonesia.  this comes landing after prices fell more than three percent on Friday due to differences between the "OPEC" members and exporters from outside the "OPEC" like Russia over countries that should reduce production and the size of the cuts in order to reduce global surplus has reduced the prices oil for more than half since 2014.  the member states will meet in the "OPEC" in the Austrian capital Vienna on Wednesday to decide on the details of the production cut may include members from outside the"OPEC" , such as Russia and Azerbaijan.

[Wiljor]

In OPEC’s Poker Game, Iran and Iraq Call Saudi Bluff

 

By Javier Blas and Nayla Razzouk - Nov 29, 2016, 7:32:47 AM

 

1:50

Nov.29 -- OPEC officials continue to work towards an oil production cut agreement ahead of tomorrow's meeting in Vienna as Russia now says it does not plan to take part in the talks. Bloomberg's Will Kennedy previews the meeting on "Bloomberg Surveillance."

For decades, Saudi Arabia has had its way at OPEC. All of a sudden the position has turned: Riyadh finds its power waning against a resurgent Iran and Iraq.

As Organization of Petroleum Exporting Countries ministers gather for a meeting on Wednesday, Saudi Arabia is trying to reassert its authority by hinting it’s prepared to walk away from the negotiations. Genuine warning or bluff, Tehran and Baghdad may be willing to take the risk. Both have seen Saudi Arabia gain market share and neither is as dependent on oil prices as Riyadh.

 

"Iran and Iraq have assumed that Saudi Arabia will cut unilaterally because it wanted higher prices and thought they could put the Saudis into a corner," said Amrita Sen, chief oil analyst at Energy Aspects Ltd. "Riyadh has effectively said it isn’t in a corner and will not do a deal unless everyone else contributes."

The consequences could be enormous. If oil prices rise, energy giants such as Exxon Mobil Corp. may soon be flush enough to revive abandoned projects and the finances of cash-strapped nations such as Mexico and Russia will get a boost. If not, oil’s recent rally is likely to come undone.

"If OPEC does not come up with a credible agreement to cut production on Wednesday oil prices will end the year below $40 a barrel and be chasing down $30 a barrel early next year," said David Hufton, chief executive officer of brokers PVM Group Ltd. in London.

 

 

Saudi Arabia is sticking to its same offer: cut production, but only if Iran freezes at current levels and Iraq also reduces output. Iran and Iraq are also holding to their own positions. The first wants to be able to recover to its pre-sanctions level of 4 million barrels per day and the second to freeze, rather than cut.

Nobody seemed ready to fold on Monday. A committee charged with determining where the burden of production cuts should fall met for 10 hours, but made little progress as the Saudis demanded Iran was barred from raising output any further.

Last Barrel

Both sides fought to the very last barrel: the Saudis told Tehran it needs to cap output at 3.707 million barrels a day; Tehran offered in exchange a cap at 3.975 million barrels a day. The difference, a mere 0.3 percent of global oil supply, could still scupper the deal. 

Iran’s frustration was evident. In an article published on Monday by the official news service, Shana, Oil Minister Bijan Zanganeh said reviving the country’s oil output was "the national will and demand of the Iranian people." Like Libya and Nigeria, Saudi Arabia should accept Iran as a special case that’s excluded from production constraints, he said.

For the latest on negotiations in Vienna before Wednesday’s meeting, click here.

Together, Iran and Iraq pump more than 8 million barrels a day, up from about 6 million barrels a day from late 2014 when OPEC adopted its current pump-at-will oil policy. Saudi Arabia remains the largest producer at more than 10.5 million barrels a day.

"The reality is that only Saudi Arabia and perhaps the U.A.E. and Kuwait are prepared to make any cuts, and those will be modest and short-lived," said Bob McNally, founder of consultant Rapidan Group in Washington. “At best, Iran and Iraq will sign for production freezes.”

Perhaps with that in mind, Khalid Al-Falih, the Saudi oil minister, tried over the weekend to change the OPEC narrative. Oil prices will stabilize next year, "and this will happen without an intervention from OPEC,” he said in Dhahran, eastern Saudi Arabia, on Sunday, according to the Saudi newspaper Asharq al-Awsat.

For Saudi Arabia, it’s an unusual position: in the past, it’s approached OPEC negotiations differently. Traditionally, Saudi Arabia let another country put forward a proposal and waited to see whether others -- particularly Iran and Venezuela -- were ready to support it, showing its hand last.

This time, however, the kingdom showed its hand early in the process, signaling in the run up to the meeting in Algiers in late September that it was willing to switch from two years of produce-at-will and consider output cuts.

For both sides, the talks go beyond oil.

Deputy Crown Prince Mohammed bin Salman is trying to re-tool the Saudi economy through its modernist "Vision 2030" program and low oil prices are forcing unpopular austerity measures. In Tehran, President Hassan Rouhani faces elections in May against conservatives who believe his rapprochement with the West isn’t yielding enough economic benefits.

"The stakes are extremely high, and everyone seems to be upping the ante," said Yasser Elguindi, a veteran OPEC watcher at consultants Medley Global Advisors LLC.  "The thing with poker though is you can win even if you have a weak hand. But right now its hard to know who is bluffing and who is holding aces."

bloomberg.com

[MyLadiesDaddy]

1 hour ago, Wiljor said:

Tehran and Baghdad may be willing to take the risk. Both have seen Saudi Arabia gain market share and neither is as dependent on oil prices as Riyadh.

Now what do ya suppose that means? I wonder what their dependent on. 

[yota691]

30-11-2016 12:58 PM

OPEC starts discussing an agreement aimed at restricting oil production and to support crude prices

 

 

 

Organization of Petroleum Exporting Countries began [OPEC], on Wednesday to discuss an agreement intended to limit oil production and support oil prices in light of resistance from Iraq and Iran to pressure from Saudi Arabia to participate fully in any action. 

Began ministers are members of the Organization meeting states unofficial 10 - hour GMT Baghdad [7 Greenwich, Park Hyatt hotel in Vienna is due to the informal meeting starts at 12:00 Baghdad time [9 Greenwich at the organization 's headquarters. 

he said one Iraqi envoys upon entering the hotel 'there will be an agreement today. " 

said Iranian oil Minister Bijan Zanganeh 'I am optimistic' he said , adding that his country had not received a request to reduce their production. 

the spokesman for the Iraqi oil Ministry , Assem Jihad, hope to reach an agreement and overcome some obstacles and problems in this context. " 

, he said that 'oil minister [Jabar Ali Allaibi will offer Iraq proposals at the meeting 'adding that' the Iraqi delegation actively involved and gave his point of view in the experts who will Tgariras on the results of their discussions at the ministerial meeting of the OPEC meeting. " 

he said 'we hope to reach today to decide to support oil prices." 

the oil minister said last week that Iraq It carries new ideas and proposals for the ministerial meeting of OPEC 'aimed at the events of greater convergence and consensus among members to reach an agreement guaranteeing the achievement of common goals for the producers, including the stability of the market and support oil prices to acceptable levels. " 

He estimated Iraq 's oil production at 4.77 million barrels per day in October and says it will not reduce production again to less than 4.7 million barrels a day, said Falah al - Amiri representative of Iraq 's OPEC governor and the president of state oil marketing company SOMO national] it will not happen for OPEC or other '. 

The Prime Minister said Haider al - Abadi on Wednesday, said that Iraq is ready to cut its oil production as part of efforts to reduce global supply and boost crude prices , OPEC plan. 

Ebadi said in a press conference in Baghdad , 'which Snkhosrh reducing our production Snrbha in oil revenues' , stressing that' Iraq is responsible for part of this reduction 'stressing' we want to protect the rights of Iraq but we have priority to raise prices of a barrel of oil. " 

The Abadi 's remarks clearest signal yet that Baghdad will support efforts to reduce OPEC production plan.

[yota691]

Urgent .. OPEC members agree to cut oil production by 1.2 million barrels per day

Wednesday 30-11-2016 | 4:22:56

 

 

 

 

J p

OPEC members agree to cut oil production by 1.2 million barrels per day

[yota691]

Oil jumps 8% amid expectations for a substantial reduction in OPEC production

 

 

Wednesday 30-11-2016 | 2:49:48

 

 

 

 

K & / p p

Twilight News / oil prices jumped nearly eight percent on Wednesday in conjunction with some of the top oil producers in the world meeting in Vienna to agree on a cut in production may be greater than expected.

By 1201 GMT, ascended International benchmark Brent crude futures to $ 3.76 to $ 50.14 a barrel, heading towards record biggest one-day change in nine months. Futures rose for WTI US median of $ 3.55 to $ 48.78 a barrel.

And it began to members of the Organization of Petroleum Exporting Countries (OPEC) meeting 0900 GMT on Wednesday at FAO headquarters in Vienna to discuss the terms of the agreement are likely to cut production in a bid to support prices, which fell to less than half since 2014 because of oversupply.

A source told Reuters that Amnesty International delegates are discussing now is greater than expected reduction in oil production up to 1.4 million barrels per day.

In September, OPEC reached a preliminary agreement in Algiers to curb production at between 32.5 million and 33 million barrels a day, compared with its current level of 33.64 million barrels per day.

Saudi Energy Minister Khalid al-Falih said he believes that market fundamentals are moving in the right direction and believes that the organization is close to reaching an agreement.

Iraqi delegate said on Wednesday that the agreement will also be reached via the Iranian oil minister expressed optimism.

Oil prices were revealed on Tuesday about four percent due to differences between Saudi Arabia and Iran and Iraq regarding the planned reduction in production details.

 

[Dinar4Dinner]

OPEC Said to Agree on Output Cuts as Saudis Soften on Iran

by Grant Smith, Wael Mahdi, and Javier Blas

November 30, 2016 — 8:25 AM EST November 30, 2016 — 10:35 AM EST

 

OPEC clinched a deal to curtail oil supply, confounding skeptics as the need to clear a record global crude glut -- and prove the group’s credibility -- brought its first cuts in eight years. Crude rose as much as 8.8 percent in London.

OPEC will reduce production by 1.2 million barrels a day to 32.5 million a day, two delegates said Wednesday during a ministerial meeting in Vienna, asking not to be identified as the decision isn’t yet public. The breakthrough deal showed an apparent acceptance by Saudi Arabia that Iran, as a special case, can raise production.

 

Khalid Al-Falih at OPEC meeting, Nov. 30.

Photographer: Akos Stiller/Bloomberg

The Organization of Petroleum Exporting Countries is ditching a pump-at-will policy introduced in 2014 to resume its traditional role as price fixer. The shift -- aimed at draining a crude glut that’s pushed down prices for two years -- will help revive the tattered finances of oil-producing countries and reverberate in markets around the world, from the Canadian dollar to Nigerian bonds to U.S. shale equities.

“This should be a wake-up call for skeptics who have argued the death of OPEC,” said Amrita Sen, chief oil analyst at Energy Aspects Ltd. “The group wants to push inventories down.”

After weeks of often tense negotiations, the eventual alignment of OPEC’s biggest producers points to the increasing dominance of Iran among the group’s top ranks. It appears the Saudis accepted that Iran can raise output to about 3.9 million barrels a day, marking a victory for the Persian Gulf country, which has long sought special treatment from OPEC as it recovers from sanctions. Saudi Arabia previously proposed that its regional rival limit output to 3.707 million barrels a day, delegates said.

The agreement, which is also likely to call for a reduction of about 600,000 barrels a day by non-OPEC countries, pushed up Brent crude by 7.8 percent to $50.03 a barrel at 3:15 p.m. in London. Prices remain at half their level of mid-2014.

“Prices reacted positively, but the devil is in the detail,” said Carsten Fritsch, an analyst at Commerzbank AG. “We have to wait for a country breakdown and whether it’s reliable or not.”

It’s not yet known how deep Saudi Arabia will cut and, crucially, whether the kingdom will go below 10 million barrels a day. Iraq, OPEC’s second-largest producer, has agreed to cut production, according to one delegate, who didn’t elaborate. The country previously pushed for special consideration, citing the urgency of its offensive against Islamic State.

Morgan Stanley said Monday that an OPEC agreement could boost crude prices by $5 or more. While the deal is unlikely to be enough to wipe out the crude glut entirely -- OPEC’s own estimates show it needs to pump just 31.9 million barrels a day from January to June to balance supply and demand -- it clears the way for participation by non-OPEC suppliers.

Russia, the biggest producer outside the bloc, has said if OPEC agrees on individual country quotas it’s ready to participate, including possibly reducing its output, a person familiar with Russian thinking said earlier. That would mark a reversal of its previous position.

OPEC is likely to hold talks with non-OPEC producers next week, a delegate said.

https://www.bloomberg.com/news/articles/2016-11-30/opec-decision-day-as-ministers-meet-to-salvage-deal-on-oil-cuts

 

~~~~~~~

Bad at the pump, good at the bank

Dinar4Dinner

 

[WheresmyRV?]

Three bucks a gallon here we come 

[tigergorzow]

6 hours ago, WheresmyRV? said:

Three bucks a gallon here we come 

WheresmyRV, Agree,  Prices are definitely on the rise and this is only OPEC members that cut 1.2 million per day so wait until NON-OPEC members chime in with their cuts.  I see $60 - $70 within 90 days IMHO.   Iraq will see a nice increase in their CBI reserves in the near future as well.

GO RV!!

[yota691]

Iraq calls on everyone to adhere to OPEC's agreement

 

 

Economy News / Baghdad ...     Iraq predicted on Thursday, rising global oil prices above $ 60 per barrel after MEMBERSHIP OPEC agreement to cut oil production, as he emphasized that it is in everyone's interest commitment decision to cut production. A spokesman for the Oil Ministry, Assem Jihad, in a statement received "Economy News" that "oil producers agreement inside OPEC and outside will reflect positively on world oil prices," adding that "All projections indicate that oil prices will rise better than the current time." He added that "oil prices could rise above $ 60, but the oil market is subject to supply and demand," pointing out that "everyone is affected by the drop in oil and therefore in everyone's interest to comply with this agreement." He explained that "the Organization of Petroleum Exporting Countries will meet after six months, and if you find the need to extend this agreement will be its extension," adding that "the organization will monitor market conditions and prices during this period."
Views 21   Date Added 12/01/2016 - 12:21   Last updated 12/01/2016 - 13:55   No. Content 6000

[yota691]

Oil continues recovering after OPEC's decision and rises to $ 52

 

 

Economy News / Continue ...     Oil prices rose slightly on Thursday, after a jump of 10% recorded yesterday, after the announcement of "OPEC" agreement to reduce production and support prices. By 06:19 GMT the price of a barrel rose blend "Brent" increased by 1.66% to $ 52.69 a barrel, while the price per barrel of US crude, "West Texas Intermediate" has climbed 1.48% to $ 50.17 a barrel. "OPEC" meeting ended on Wednesday, declaring the Member States agreed to reduce oil production by 1.2 million barrels per day, for a total production of OPEC members 32.5 million barrels a day, its shares are distributed among member states. With reduced states from outside the organization, "OPEC" production as a whole 600 thousand barrels, of which 300 thousand barrels contraction Russia gradually, it is supposed to begin implementation of the agreement early next year. Jeffrey said Haley, an analyst at Financial Group "Luanda", "The Asia market captures his breath after a rise last night," expected to "Oil prices remain in this margin in Asia to open up the markets of Europe."
Views 7   Date Added 01/12/2016 - 12:11   Last updated 12/01/2016 - 13:37   No. Content 5999

[heeper00]

Thank you for keeping us all positive.

Go Yoda

Go RV.

[Officiallytook]

"The  first wants to be able to recover to its pre-sanctions level of 4 million barrels per day " 

 

This is referring to Iraq...

 

And I just read an oil article mentioning Iraq at 4 mill day

 

Lift the Vail already

Edited December 1, 2016 by Officiallytook
Forgot motivation

[yota691]

Experts: Iraq will earn more than $ 7 billion a year due to reduced oil production

Saturday 03-12-2016 | 8:48:24

 

 

 

 

And k / d p

Twilight News / announced the Organization of Petroleum Exporting "OPEC" that Iraq will reduce the production of a daily 210 thousand barrels for six months, while the economist stressed that Iraq will earn a profit of $ 7.1 billion a year, if prices have not fallen to less than $ 50.

Saudi Arabia and endured the largest reduction within the "OPEC", as agreed to reduce output by 486 thousand barrels per day, and then Iraq by 210 thousand barrels per day, and the UAE 139 thousand barrels per day, Kuwait 131 thousand barrels per day, along with limited cuts from other members.

And allowed the organization to Iran's production ceiling at 3.8 million barrels per day, almost, which means that Tehran was able to increase its production about one hundred thousand barrels per day above the rate of October last year, of around 3.7 million barrels per day.

OPEC exempted Libya, Nigeria cuts, while Indonesia asked for suspension of its membership in the organization in order to avoid the reduction.

[yota691]

Brent crude above $ 55 a barrel

History of edits:: 12.5.2016 15:29 • 25 visits readable

{International: Euphrates News} exceeded price per barrel of crude, "Brent" 55 dollars, on Monday, the highest price link within 16 months, due to optimism agreement "OPEC" on the historical production cuts.

And traded as futures benchmark crude blend "Brent" at a price of $ 55.13 per barrel , higher by 67 cents, as the price rose US oil barrels of light "West Texas Intermediate" by about 58 cents to $ 52.26. 
And achieved "Brent" during Monday 's trading gains of about 19% as well as earning US crude about 16%, the highest level in almost eight years. After it reached "OPEC" on Wednesday an agreement on reducing the level of oil production with the help of Russia , a non - member state of the organization, which has also agreed to join the agreement and reduce its production of V.anthy

[tigergorzow]

Yota Thanks,  DV,  Whatever it takes and if that means increase in the barrel of Oil then have at it OPEC & NON-OPEC countries.  Make that money but one condition Iraq must RV / RI the IQD immediately.

 

GO RV!!

[yota691]

OPEC is looking at ways to stop the deterioration of oil prices

Specialists: OPEC decision to cut production gives Iraq $ 14 billion to revive the economy

 

Author: ZJ 
Editor: BK, HH 
6/12/2016 15:21 
Number of Views: 99

 

Long-Presse / Baghdad

Affirmed the financial advisor to the prime minister, Haidar al-Abadi, said on Tuesday that the OAS decision of Petroleum Exporting (OPEC) to cut production, will provide Iraq with nearly $ 14 billion a year, which means reducing the deficit budget next in 2017 by 65 percent, "and noted that it will revive the local economy and it reduces the need for internal and external borrowing, and as revealed oil ministry for its commitment to reduce 200 thousand barrels per day of production under the resolution, he drew an economist to the cooperation of OPEC countries with other producers can achieve a balance between supply and demand and improve the price.

He said the appearance of Mohammed Saleh, in an interview to the (long-Presse), "The OPEC decision to cut production will reflect positively on the Iraqi economy by reducing the budget deficit," noting that "any dollar increase in the price of oil enters an additional annual return of $ billion, as well as reduce the need for new oil investments and maintain redeeming investments to maintain production capacity at the same level. "

He said the financial advisor to Ebadi, "The decision means no need for expenses for a new increase in production," noting that "it is a two-way first is to maintain the current production capacity and ensure that no retreat from current levels of oil wells, as well as exchange ceased to invest in new wells because of the restrictive quota productivity decided by OPEC, which means the provision of between three to four billion dollars of investment plan for the next year in 2017 at the very least. "

Saleh pointed out that "the outcome of the implementation of the resolution and the possible rise of crude prices by about ten dollars a barrel, means the provision of nearly ten billion dollars in annual revenues further, the other four as a result of lack of need for new oil investments," he returned that "it means Balteliseadh savings ratio and reduce the deficit budget next 2017 by 65 percent. "

Salih stressed that "the potential recovery of the Iraqi economy in the event of rising oil prices, also contributes to reducing internal and external borrowing ratio."

The price of Brent crude, rose on Monday, rose 19 percent, with the highest jump since last July 2015, above $ 55 a barrel, on the back of the Organization of Petroleum Exporting Countries decision (OPEC) cut its production ceiling by 1.2 million barrels per day.

The budget deficit in 2017, which exceed percent trillion dinars, more than 21 trillion dinars.

For his part, he said a spokesman for the Oil Ministry, Assem Jihad, said in an interview to the (long-Presse), "The Iraq of important producers in OPEC," noting that "the organization to cut production decision came by agreement between the Member States to address the decline in the price of crude and its repercussions on the economies crisis."

Jihad said that "the decision to cut production will be implemented early next year, in 2017 and for a period of six months," pointing out that "ad hoc committees will monitor the market situation and identify the need to increase production in the event of stability after the expiry of that period."

The spokesman for the oil ministry, that "the agreement requires that the cut Arabia produced up to 460 thousand barrels per day, Iraq stands at 200 thousand barrels," pointing out that "many producers outside OPEC supported the decision by their willingness to reduce 600 thousand barrels per day, including Russia, which It pledged to cut about 300 thousand barrels of daily production. "

He continued jihad, "The decision is aimed at controlling the oil supply glut that the global market witnessed during the last term," she returned to "Ttabat decision will support prices and increases the input-producing countries."

And drew a spokesman for the Oil Ministry to, that "Iraq will deal wisely with the subject to reduce the negative impacts and maximize the positive aspects, especially on the revenue," he "can not depart from the international consensus, especially since the decision was the result of tough negotiations."

In turn, he said the economist Ahmed Rehn, said in an interview to the (long-Presse), said that "OPEC's decision to cut production will lead to reduce oversupply in the international market, especially after crossing the barrier of two million barrels per day," noting that "cooperation OPEC countries with producers outside can bring balance between supply and demand and lead to the result of improved price of oil. "

He said Rehn, "The global market has responded to the resolution by increasing the price of crude will reflect positively on the Iraqi economy," adding that "we we wished not covered by Iraq's decision because of the loss of a lot of opportunities for him for decades as a result of wars, sanctions and others."

He stressed the economic expert, said that "Iraq if it had been the fastest in the development of his energies to the extractive was more of the resolution have benefited."

The OPEC countries, announced in (the thirtieth of November 2016), its members agree on a production cut for the first time since 2008, indicating that the implementation of the agreement will be the start of next January 2017, for a period of six months.

It is hoped that OPEC members will meet with the rest of the producing countries outside the Organization, this weekend in the Austrian capital Vienna, to reach a final agreement on reducing production.

The global oil prices fell more than 60 percent, since the summer of last year, 2014, when it was close to 120 dollars a barrel, which led to a significant damage to the economies of countries that rely on "black gold" as a resource presidents, including Iraq.

 

[yota691]

Consultant Abadi: OPEC agreement will cut 65% of the budget deficit

Il Giornale 4 minutes ago Add comment 0 Visit

 

BAGHDAD - The Journal News , the 
financial advisor to the Prime Minister said the appearance of Mohammed Saleh, Tuesday, that the reduction in OPEC production will support oil prices in world markets, which will increase the financial state revenues.

Said Mohamed Saleh, the Organization of Petroleum Exporting Countries decision (OPEC) to cut production, will provide Iraq with nearly $ 14 billion a year, which means reducing the deficit budget next in 2017 by 65 percent, which in turn will revive the local economy and reduce the need for internal and external borrowing.

He said Mohammed Saleh, said any dollar increase in the price per barrel of oil enters an additional annual return of $ billion, as well as less need for new oil investments and maintain redeeming investments to maintain production capacity at the level of Nevsh.anthy

[Officiallytook]

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